• Floor wise registration

Hi sir,
We have a property in Delhi and due to business need my family has mortgage the same to bank in term of LAP,now my father who is the owner of property want to collaborate this particular plot with builder my questions are
1.Can we do like this I means it's legally allowed. 
2.We dont have floor wise registration, how it is possible to do so ,having all originals at bank,the loan still has 10 years to go.
Asked 9 months ago in Property Law from New delhi, Delhi
Religion: Hindu

1. It cannot be done, without the consent of the bank with whom the property has been mortgaged. Also, no title of the property can be transferred to the builder due to such collaboration.

2 . It can be done if the bank allows you for the same. You can legally give the property to any other person on rent or lease.

Also please state the exact details as to collaboration is going to be?

Siddharth Jain
Advocate, New Delhi
5326 Answers
59 Consultations

5.0 on 5.0

Dear client 

Yes it is legally allowed to build floor with collaboration of the builder 

And you can get the property papers free by clearing the loan and for that you just have to pay your balance principal amount in the bank for which you can arrange by selling the floorsof your property via sale  agreement. And registering the floor after getting the papers from bank.

Originally  the registration is done for the share of land proportionate to flats in the building and floor/flat no.  Is mentioned in the registration.

Mohit Kapoor
Advocate, Rohtak
6572 Answers
2 Consultations

5.0 on 5.0

Till the mortgage loan is relaid it seems difficult to do the same. 

Prashant Nayak
Advocate, Mumbai
16701 Answers
30 Consultations

4.6 on 5.0

1. yes it is 

2. The same can be done after obtaining NOC from the bank and after taking permission from the MCD/ NDMC.



Anilesh Tewari
Advocate, New Delhi
17403 Answers
280 Consultations

5.0 on 5.0

You need bank consent to create third party rights for property 


2) bank would not grant consent unless loan is repaid 

Ajay Sethi
Advocate, Mumbai
72059 Answers
4334 Consultations

5.0 on 5.0

A property mortgage is defined in the Act as a transfer of an interest in a specific immoveable property for the purpose of securing the payment of money advanced or to be advanced by way of loan, an existing or future debt, or the performance of an engagement which may give rise to a pecuniary liability. So You need bank permission before creating third party rights in property .

Ajay N S
Advocate, Ernakulam
3203 Answers
67 Consultations

5.0 on 5.0

1. The development of the plot appear to be of making new constructions on the land and selling the flats. if that is so then without the consent of bank the same can not be done.

2. Moreover the buyers of such flats would not get loan since the land is mortgaged to bank. So rather ask the developer the foreclose the loan first, get the plot released and then develop the property.

Devajyoti Barman
Advocate, Kolkata
18599 Answers
266 Consultations

5.0 on 5.0

Yes you cannot sale without Bank's permission but you can develop the property and update the bank if Bank's policy say so.. 

If you're are Regular payer of loan then Bank will not matter your case. 

Amol Chitravanshi
Advocate, New Delhi
220 Answers
1 Consultation

4.0 on 5.0

1. Noc for development is required from the bank.

2.See.simce the complete property is.mortgaged the floor wise registration is not possible your father can take approval NOC from.bank, bank give further project loan. And you can develop the property.

Shubham Jhajharia
Advocate, Ahmedabad
22882 Answers
93 Consultations

5.0 on 5.0

1. The same is possible, by submitting draft of such development agreement and duly obtaining NOC from Bank, for the purposes.

2.  Each loan for each original agreement of property, shall attract individual Bank NOC, to enable you to sell /transfer further.

Hemant Agarwal
Advocate, Mumbai
3677 Answers
19 Consultations

5.0 on 5.0

This can be done by executing agreement with builder. Originals not required. But make sure in case of loan default builder will be effected party.

Yogendra Singh Rajawat
Advocate, Jaipur
16743 Answers
21 Consultations

4.6 on 5.0

First of all you may not be able to alienate the property which is under mortgage loan.

Any such separate floor wise registration may be termed as an act of cheating an offence under section 420, hence the bank may even take a criminal action for this.  

Better consult an advocate in the local and then proceed.


T Kalaiselvan
Advocate, Vellore
61997 Answers
800 Consultations

5.0 on 5.0

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